Choice International (531358) Q3 23/24 earnings summary

Executive summary

• Q3 FY24 consolidated revenue from operations was ₹20,727.70 lakh and net profit ₹4,028.08 lakh, up 115% and 190% YoY, respectively.

• 9M FY24 revenue from operations was ₹53,613.71 lakh and net profit ₹9,146.29 lakh, versus ₹24,914.20 lakh and ₹2,980.52 lakh a year earlier.

• Operations span broking and distribution, insurance, MSME lending, and government advisory services.

Financial highlights

• Q3 FY24 total income was ₹20,978.29 lakh, PBT ₹5,620.71 lakh and total expenses ₹15,357.58 lakh; total income and PBT rose 113% and 205% YoY.

• Q3 FY24 EBITDA margin was 33% vs 27% in Q3 FY23; EBIT margin was 32% vs 25%, and PAT margin was 19% vs 14%.

• 9M FY24 total income was ₹54,291.71 lakh and PBT ₹12,559.68 lakh, versus ₹25,563.08 lakh and ₹4,169.07 lakh a year earlier.

• Standalone Q3 revenue was ₹313.56 lakh and PAT ₹37.62 lakh; 9M revenue was ₹1,017.37 lakh and PAT ₹135.46 lakh.

Outlook and guidance

• Strategy prioritizes expansion into Tier III and smaller cities through the CBA network and branches, alongside organic and inorganic growth.

• Priorities include MSME lending with average ticket size below ₹1 Mn, expanding advisory services and order book, and automation and digitization.

• Focus on reducing reliance on any single vertical, with an objective of equal contribution from the three business verticals.